Micro Enterprise Credit Vocabulary

Front

Something of value

Back

asset

Front

Cash, publicly traded stocks, government bonds or corporate bonds that can be quickly turned into cash

Back

cash instrument

Front

Equipment, inventory or other goods that are pledged to the bank in the case the company can not make a loan payment

Back

collateral

Front

Money earned when something is sold. It is usually stated as a percentage

Back

commission

Front

A person or a business with a strong credit score and the financial resources that make it like they will be able to pay any loan.

Back

credit-worthy

Front

Money paid by a company to a person who owns stock in that company.

Back

dividend

Front

An obligation you have to pay someone else money.

Back

liability

Front

The right to take possession of collateral until a debt is repaid.

Back

lien

Front

Cash or securities that can be immediately turned into cash, which can then repay any loan amount outstanding.

Back

liquid assets

Front

The date a loan (or debt or liability) is repaid in full.

Back

maturity